Trade and Investment Involving Taiwan

Abstract

As mentioned before, owing to political animosity, policy interactions between Taiwan and the Mainland were mostly not the outcome of direct governmental negotiations. Instead, they were a series of unilateral moves undertaken in anticipation of reciprocal moves by the opposite party. This unique process has achieved remarkable results since 1987 in terms of trade and investment flows. However, as a result of the ascendancy of pro-independence sentiments in Taiwan, Taiwan—Mainland relations have stalled for a decade, since 1994.